HomeMy WebLinkAbout1999-05-04; City Council; 15174; Approval of Specifications Proposals For DMSCW OF CARLSBAD - AGENPq BILL
4B# $/7‘f TITLE:
MTG. +Y- -7 APPROVAL OF SPECIFICATIONS, REQUEST FOR
DEPT. CLK PROPOSALS FOR A CITYWIDE DOCUMENT MANAGEMENT
SYSTEM AND APPROPRIATION OF PROJECT FUNDING
RECOMMENDED ACTION:
Adopt Resolution No. 99 r 15 8 accepting the Document Management System
Requirements Study, approving the isiuance of a Request for Proposal for a Document Management System; approving the addition of four positions to implement
the system, and appropriating funds in the amount of $1,330,000.
ITEM EXPLANATION:
Project Background:
In March, 1994, the City began the task of replacing it’s Financial Information System
(FIS). Identified for replacement in Phase VII of the FIS project was the City Clerk’s
Legislative Indexing Program. As staff began examining available options, it was
discovered that there was a citywide need for a system to deal with the multitude of
papers, files, and maps, and the accessibility of information.
A Records Management Committee was established with representatives from
thirteen city departments. As a result of that committee process, the City Council
adopted Resolution No. 98-279, on August 8, 1998, which approved an agreement
with The Mattox Group/@doc. The consultant was tasked with performing an analysis
of the city’s document management needs, preparing specifications and a Request for
Proposal for a system, and assisting with vendor evaluation and selection. A parallel study was also required which would result in the preparation of a citywide Records
Management Program. That information will be forwarded to Council in a separate
report.
The consultant has completed the analysis of the city’s document management
needs, and the Executive Summary of the findings and recommendations is attached
as Exhibit 1. As a result of that study, staff recommends that the project be allowed to move forward with the issuance of a Request for Proposal for the installation of
hardware and software to implement a Document Management System (DMS).
The DMS will be an electronic vault, which will provide quick access to documents and
maps stored on the system. The DMS will manage paper and electronic documents
generated by city staff, and from external sources such as contractors and
developers.
Implementation Recommendations:
Due to the magnitude of the project, a phased implementation is recommended.
Phase I will be comprised of two concurrent pilot projects: (1) paper records from the
City Clerk’s Department; and (2) plans and drawings from Public Works.
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Phase 1 will be limited to approximately 20 users comprised of staff in the City Clerk’s
Department, Information Systems, and Autocad specialists in Public Works. The focus will be for these users to place the documents in the system which are most
frequently accessed by multiple departments.
In the study, it was determined that the documents in the City Clerk’s Department that
are most frequently accessed by other departments are: Agenda Bills, Agendas,
Minutes, Agreements, Deeds, Ordinances, and Resolutions. In Public Works, the
maps and drawings are most frequently accessed by multiple departments.
Therefore, in Phase 1, as new documents of these types are created, they will be
imported and/or scanned into the new DMS.
Back file conversion:
The pilot projects, and future phases, however, must address not only the input of
newly created documents, but also the conversion of existing records into the system
(back file conversion).
The consultant has inventoried documents throughout the city, and has identified the
following as potential methods for back file conversion:
l Contract with a service bureau to convert back files
l Convert in-house
l Convert files “on demand”
l Day forward - No “back file” conversion
The consultant has recommended, and staff concurs, that Phase I back file
conversion be performed by a service bureau. Approximately 643,000 documents in
the City Clerk’s Department, containing approximately 5.2 million pages, and
approximately 111,000 sheets of drawings/plans in the Engineering/Water/Streets
Departments, have been identified and considered for conversion.
The cost estimate for service bureau conversion of the 111,000 sheets of selected
drawings/plans is $160,000. Staff recommends that all of these documents be
converted.
The cost estimate for a service bureau to convert & of the City Clerk’s Department
documents, which were identified in the report, is $500,000 to $750,000. Therefore,
staff evaluated the options, and recommends that only a portion of those documents
be converted at this time, at an estimated cost of $340,000.
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The most frequently referenced documents are those created within the last 10 years.
Therefore, staff recommends conversion of the following documents:
l All deeds
l All Council Minutes
l Council Agenda Bills from 1988 to present
l Agreements/Contracts from 1988 to present
l Council Resolutions from 1988 to present
l Council Ordinances from 1988 to present
l All CMWD Minutes
l CMWD Resolutions from 1988 to present
l All Housing & Redevelopment Commission Minutes
l Housing & Redevelopment Commission Resolutions from 1988 to present
l Planning Commission Resolutions from 1988 to present
It should be noted that some additional resources will be needed for Phase I back file
conversion of documents, drawings, maps, and plans, even though the conversion will
be done by a service bureau. The consultant has estimated that two dedicated people
will be needed to prepare and organize the drawings/maps, check them after
conversion, and perform quality control on the scanned images. Similarly, it is
estimated that the City Clerk’s Department will need to devote one person during the
conversion to prepare documents for the service bureau, inventory them when they
are returned, and perform quality control on the converted images and indexes.
The consultant has emphasized that the workers who handle these maps and
documents should be familiar with the material so they can properly identify each
document and weed out duplicates. Therefore, temporary staff may be required to
assist the departments so that employees familiar with the files can devote the
required time.
In Phase 2, the system will be expanded to include approximately 40 users who have
the need to access those documents. Those users will include the Council Secretary,
City Attorney’s Department, City Manager’s Department, and selected users
associated with the development process.
Additional recommendations for Phase 2, which will be re-evaluated as the project
proceeds are:
l Build an intranet infrastructure be built to support the users
l Test workflow with electronic signature approvals be tested for internal use by a
small group of users
l Implement electronic submittal of plans and drawings be implemented (and
converted to raster)
l Continue conversion of final maps/drawings
l Add Council Policies and Administrative Orders to the electronic library
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PAGE 4, AGENDA BILL NO. j 5, / 77
The consultant also recommended that the Planning, Building, and Engineering
Departments files be purged and consolidated prior to the move to Faraday,
However, due to the current demands on the Community Development staff, they
have indicated this will not happen. Therefore, the file consolidation will be considered
for Phase 3.
Future Phases:
This project will be ongoing, and since significant resources will be required to
maintain and operate the system, the following criteria will be used to evaluate
documents before adding them to the system:
l Time sensitive
l Shared among departments
l Retrieved regularly
l Periodically updated
l Filed in multiple locations
l Required approval process
l Of interest to the public*
Public Access Recommendation:
Staff recommends that selected documents from the DMS be offered to the public on
the internet as soon as the effort can be supported. The consultants have noted that,
when the City begins to offer public access, a web master will be needed to ensure
that information is properly managed and kept current. [Public access to fhe D/US is
planned for Phase 3) *.
Required Staffing for System:
As noted in the Executive Summary, insufficient resources would have the greatest
potential negative impact on the success of the new DMS, and city departments do
not have the resources necessary to dedicate to a new system.
Therefore, the addition of the following four new positions is recommended to support
the DMS and Records Management Program in Phases 1 and 2:
l System Administrator - The Document Management System (DMS) will require IS
support during design and implementation and will require a full time administrator
(Application Specialist I) for on-going support. (IS cannot absorb the additional
workload with current staffing.)
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l Records Management Supervisor - The Records Management Program must be
implemented to ensure that duplicates are not put into the DMS, that training and
assistance with the new records program are provided to departments citywide, and to
coordinate with DMS. The Records Management Supervisor is a new classification,
(at the estimated salary range of $36,041.20 - $43,495.14). The formal approval of
the job description and salary range will be brought to Council in a separate agenda
bill. (City Clerk staff cannot absorb the additional workload with current staffing.)
l Two (2) Document Coordinators/(Senior Office Specialists - These are both full-
time document coordinators, who will report to the Records Management Supervisor.
One position will be dedicated to implementing and maintaining the DMS and records
program in the Clerk’s Department. This position will scan, import, index, and verify
the quality of information entered into the system, and is critical to Phase 1 of DMS.
(City Clerk staff cannot absorb the additional workload with current staffing.)
The second Document Coordinator, for the Faraday Building, will be dedicated to
assisting with map/drawing conversion and providing records management services to
Public Works during Phase 1; will be responsible for implementation of new plans and
drawings into DMS in Phase 2; and will implement the records management program
and DMS in Community Development during Phase 3, (this will require consolidation
of appropriate Community Development and Engineering files). This position will
ultimately be responsible for both the paper and electronic versions of files.
FISCAL IMPACT:
The estimated total cost for the Document Management System for Phases 1 and 2 is
$1,500,000. Th t a includes the following: software costs of $308,000; hardware costs
of $280,000; training and installation costs of $212,000; annual staffing costs of
$200,000 for four new positions necessary to implement and maintain the system; and
estimated conversion costs of $500,000.
At this time, staff is requesting the appropriation of $1,330,000. This includes: $1.3
million for DMS system purchase, training, installation, and conversion costs; and
$30,000 to fund personnel costs for 2 months of FY 1998-99. If this project and
personnel additions are approved, $200,000 will be included in the FY 1999-2000
operating budget to fund these positions.
Evaluating potential benefits of the system, the consultant noted that city staff
currently spends inordinate amounts of time searching for information. This often
involves driving to another facility to retrieve the information. As an example, in 1997, Water District maintenance staff spent 5% of total staff hours on research, which
amounts to $30,000 per year. Similar amounts of time are spent by many employees
in other departments. As a result, the consultant has estimated a potential savings of $488,000 annually in staff productivity.
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Based on these estimates, the City will realize a return on its investment in document
management technology in approximately 3 years based on employee productivity
gains. Most of the major system components purchased for the first two phases will
support many more than the Phase 1 and Phase 2 users, so that on-going system
costs will be less than the benefits the City realizes as additional users are phased in.
Other benefits to be realized from DMS include:
l Strategic direction - following the City Council’s and the City Manager’s lead to
improve the public’s ability to access information.
l Knowledge Management - DMS is essential for building a knowledge management
system.
l Operational savings - Costs associated with paper filing systems, storage, etc., will
be reduced.
Also equally important to consider, but more difficult to quantify are the following
benefits the system will provide: better service to the public; improved staff morale
due to less frustration in searching for information; better use of office space; and
complete and accurate files accessible to all authorized users.
EXHIBITS:
1. Resolution No. 99 - I 5 g accepting the Document Management System
Requirements Study, approving ihe issuance of a Request for Proposal for a
Document Imaging System; approving the addition of four positions to implement
the system; appropriating funds in the amount of $1,330,000 to fund the system
purchase, training costs, conversion costs, and associated personnel costs for the
remainder of FY 1998-99.
2. Executive Summary, dated February 8,1999.
RESOLUTION NO. 99-158
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, APPROVING SYSTEM SPECIFICATIONS,
THE REQUEST FOR PROPOSALS FOR A CITYWIDE DOCUMENT
MANAGEMENT SYSTEM, THE ADDITION OF FOUR POSITIONS TO
IMPLEMENT THE SYSTEM. AND APPROPRIATING FUNDS.
WHEREAS, the need to replace the existing legislative history indexing
program used by the City Clerk’s Department was identified as part of Phase VII
of the Financial Information Systems Project; and
WHEREAS, as part of that process, it was determined that. there is also a
great need to organize and automate other types of city records, forms and..
maps, and to improve employees’ ability to share and retrieve information .quickly ,,.
and effectively; and
WHEREAS, in August, 1998, the City contracted with The Mattox
Group/@doc LLC (the consultants) to prepare a Document Management System
Requirements Study, system specifications, and Request for Proposal for the
Document Management System; and
WHEREAS, the City desires to implement a Document Management
System; and
WHEREAS, city departments do not possess the additional staffing
necessary to support the new Document Management System; and
WHEREAS, it is necessary to add four additional positions (System
Administrator/Applications Specialist I, Records Management Supervisor, and
two (2) Document Coordinators/Senior Office Specialists to properly implement
the system; and
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1 WHEREAS, the total cost to implement Phases 1 and 2 of the system is
2 estimated at $1,500,000, which includes ongoing annual personnel costs.
3 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
4 Carlsbad, California, as follows:
5 1. That the above recitations are true and correct. 6
7 2. That the Document Management System Requirements Study,
8 prepared by the Mattox Group/@doc LLC is hereby accepted.
9 3. That the City Council does hereby authorize the issuance of the
10 .’ -Request for Proposal for a Document Management System.
11 I,“)’ 4: That the City Council does hereby amend thePersonnel Allocations for :,
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1998-99 tis follows: to add one (1) System Administrator/Application Specialist I
to the Information Systems Department; and to add two (2). Document
Coordinators/Senior Office Specialists and one (1) Records Management
Supervisor to the Administrative Services MSA.
5. That the City Council does hereby authorize the appropriation of
$1,300,000 from the General Fund Balance for the Document Management
System, to the Administrative Services MSA for the system purchase, training
and installation, and conversion costs.
6. That the City Council does hereby authorize the appropriation of
$30,000 from the General Fund Balance, $10,500 to the Information Systems
Department Budget, and $19,500 to the Administrative Services MSA, for
associated DMS personnel costs for the remainder of the 1998-99 fiscal year,
and authorizes placement and funding of the four positions in the operating
PASSED, APPROVED AND ADOPTED at a regular meeting of the City
Council on the 4 th day of April 9 1999, by the following
vote, to wit:
AYES: Council Members Hall, Nygaard, Finnila & Kulchin
NOES: None
ABSENT: Council Member Lewis
‘i ; c ATTEST: L.., ,._’ ,,
City Clerk
City Clerk
(SEAL
Executive Summary
EXHIBIT 2
Table of Contents
Findings 2
Recommendations 2
New System Conceptual Design 3
Phased Implementation 4
Conversion 4
Estimated Costs for Phases 7 & 2 4
Benefits Summary 5
Productivity Gains 5
Internal Approval Process - Primary Benefits 5
Customer Service 5
Operational Costs 6
Risks, Cons train ts and Solutions 6
Insufficient Resources 6
Management Support 6
User Acceptance/Resistance 6
1
Document Management System Requirements Study
Executive Summary
February 8,1999
The City of Carlsbad contracted with @dot, an independent consulting firm
specializing in document management technology, to perform a feasibility study
for document imaging/management throughout the City. The study was
conducted during September and October, 1998.
@dot conducted a parallel records management requirements study that
included a file inventory in all departments. The results of this effort are
contained in a separate document.
Findings
The following are high level findings that pertain to the City as a whole.
Summaries of interviews by department are found in Appendix 3 to the
Document Management Requirements Study.
The City k in the Information Business
Our primary finding is that the City is in the information business, but does not
have a strategy to manage this responsibility effectively. The advent of the
internet has raised the public’s expectation that public information should be
readily available and current. As with many public agencies, the City relies on
paper files which are not being managed effectively in many departments.
The Majority of Documentation the City Refers to & Stores Is Computer-
Generated
Most documents submitted to and generated by the City are created on a
computer (we estimate as high as 80%), but stored and retrieved on paper.
If the City Does Not Migrate to an Electronic Information System, Entire
Buildings Will Be Required to Store Historical Documents
Most Documentation Is Shared among Departments
Most departments depend on each other to accomplish their missions. Consequently, documents taking up the majority of file space are shared and
duplicated among departments.
Recommendations
1. Adopt a strategic direction to build an electronic vault of documentation that
will be available to City departments, the public, and other agencies. The
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electronic vault will be a critical building block for the City’s knowledge
management program.
2. Build an infrastructure to support this strategic direction, and allocate
resources to ensure its success. We recommend adding four positions as the
cornerstone to building this infrastructure.
3. Establish and implement firm policies to control the proliferation of duplicate
files. We are not advocating a papers workplace, since this is impractical and
bound to fail. However, we do advocate an electronic vault as the central
repository of City documentation, from which staff and the public can print working copies of material to take to meetings, refer to in the field, and provide
to the public.
4. State law requires Council to approve document destruction, which
encourages people to keep everything. A Records retention plan should be
approved by Council then implemented which would eliminate the need to go to
Council to destroy files.
5. Require contractors, designers, and developers to submit plans in both
electronic and paper form, whenever possible.
6. In the future, eliminate separate files for Engineering, Planning, and Building.
Instead, use the document management system to create electronic project files
that combine documents from all three areas.
7. Purge files before moving to Faraday. Set up after-hour and/or weekend
programs where staff dedicate time to accomplish this labor-intensive work.
8. Develop and implement a change management plan to assist users and
public to become familiar with and accept the new technology.
New System Conceptual Design
The new system should manage both electronic documents generated by City
staff and submitted by external designers and contractors, and paper documents
submitted by the public (which will be scanned). The result will be electronic
folders containing both internally and externally generated documents.
The system should provide fast access to documents based on user security
levels. Paper copies can be printed and should be treated as working copies;
the master document would always be on the system.
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Phased Implementation
We strongly recommend implementing document management (DM) in phases.
Phase f - Two pilot projects: one in City Clerk’s Office; one in Community
Development/Public Works; with an estimated 20 users.
Phase 2 - Expand system to about 40 additional users with regular needs to
access City Clerk’s files (City Council secretary, City Attorney, City Manager, and
selected departments associated with the development process) and
drawings/plans converted in Phase 1.
Conversion
When considering if and how existing paper files could be converted into
electronic images, the following approaches are available:
l Contract with a service bureau to convert files. This will require the owners of
these files to purge and prepare them for conversion.
l Convert in-house - set up a facility in-house with dedicated staff.
l Convert “on demand” - when a file is requested, convert it at that time, on-
site.
l Day forward - do not convert paper files. Implement the new system for
incoming work.
As far as converting City Clerk’s files, the cost will be considerable regardless of
the method of conversion because of the volume of material. We recommend
identifying a subset of the City Clerk’s documents for conversion. If the City
considers it a wise use of funds, we recommend using a service bureau for
conversion.
Estimated Costs for Phases 1 & 2
Document management/imaging system costs for Phases 1 and 2 are estimated
at $1,500,000: software costs of $308,000 based on a quote from FileNet, one of
the higher priced vendors; hardware at $280,000; training and installation at
$212,000; staffing at $200,000; conversion costs at $500,000. Costs to upgrade
PCs were not included since the City has separate budgets for upgrading computer equipment.
Since vendors provide different capabilities, actual configurations and costs will
vary. Since FileNet is considered one of the higher priced vendors, your system
may cost less,
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Benefits Summary
The City can expect to receive significant benefits from document management
technology:
_ Strategic direction - following the City Council’s and City Manager’s lead to
improve the public’s ability to access information.
_ Document management technology is essential for building a knowledge
management system.
_ Productivity - allow existing staff to perform work they currently don’t have
time to do and to improve the quality of specific work processes.
_ Operational savings - maintain staffing levels while absorbing growth; reduce
costs associated with paper filing systems.
We estimate that in approximately 3 years, the City will realize a return on its
investment in document management technology.
Productivity Gains
City staff spend inordinate amounts of time searching for information which often
involves driving to one or more facility. The City has the potential of realizing
$488,819 annually in staff productivity.
Internal Approval Process - Primary Benefits
Electronic workflow for the internal review process - agenda bills, contracts,
agreements - will provide benefits in a number of areas including quality,
productivity and speed.
Customer Service
Today, the public must physically come to the City to research information and
obtain copies of relevant documents. Using document management technology,
they will be able to:
_ Research topics using public terminals located in City buildings.
_ Use the internet to research topics from home or office computers.
_ Reduce wait time by researching information themselves.
City staff will better serve the public by:
_ Expediting requests for residential and commercial plans by providing
electronic copies on request, since contractors and designers will submit
plans and drawings both electronically and in hard copy.
_ Responding to phone calls immediately with no call backs since staff can
access information without pulling the physical file.
Operational Costs
The following on-going operational costs can be reduced or eliminated by
implementing DM technology.
_ Free up scarce otfice space now used to store files.
_ Reduce cost of returned phone calls.
- Currently, multiple copies of many documents are filed in each department.
Duplicates are stored on and offsite. Costs for offsite storage totaled $18,000
in 1997-98. This amount will double in the coming decade unless electronic
storage replaces paper storage.
_ Photocopying costs will be significantly reduced since reference copies will
be immediately available online.
Risks, Constraints and Solutions
Factors that could threaten the success of document management technology
for the City include:
Insufficient Resources
We see insufficient resources as having the greatest potential negative impact
on the success of the proposed system. No departments appear to have extra
resources that can be dedicated to document management. Consequently, we
are recommending four new positions to support DM and records management:
system administrator, records manager, and two document coordinators - one for
City Clerk’s Office, one for technical files.
Management Support
Department management must support both the records management program
by adhering to retention schedules and purging existing files; and support the
document management system by recognizing and supporting the concept of an electronic vault. Managers will also have to allocate resources to preparing
current files for conversion.
User Acceptance/Resistance
Many users will embrace document management technology readily. They are
frustrated with paper files and will welcome new methods for management
information. Others will be resistant, which is understandable because paper
files are familiar and comfortable, despite their disadvantages.
We recommend the City develop a change management program that introduces
users to the new technology slowly and provides several ways for them to
become comfortable with the new system.